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Investing.com -- Shares of Cineplex Inc . (TSX:CGX) climbed 2% after Canada’s leading entertainment and media company reported a robust 38% year-over-year increase in second-quarter box office revenue, rising to $158.5 million from $114.5 million in the same period last year.
The company’s strong quarterly performance was underpinned by sustained monthly box office receipts exceeding $50 million in April, May, and June, a milestone not seen since 2019. The company claimed consistent momentum underscores the enduring appeal of the cinematic experience and the strength of the current film lineup.
RBC (TSX:RY) analyst Drew McReynolds reiterated an Outperform stock rating and a $14 price target, pointing to an expected "strengthening film slate as the year progresses" "Against the backdrop of a strengthening theatrical slate... we continue to see value in the shares," the analyst commented.
In June, box office revenue totaled $51.8 million, edging up 1% from $51.4 million in June 2024. The month was anchored by the successful release of the live-action adaptation of How to Train Your Dragon, which has already eclipsed the domestic box office total of the original animated film within just a few weeks.
Another highlight was F1: The Movie, which broke records as the highest-grossing opening for an Apple (NASDAQ:AAPL) Original production and delivered the largest global opening weekend of Brad Pitt’s career. The film resonated strongly in premium formats, with 76.7% of its opening weekend revenue generated through these higher-margin screenings.
April and May posted even more pronounced annual gains, with April’s box office reaching $51.4 million, a 76% increase year-over-year, while May brought in $55.3 million, representing a 63% year-over-year jump.
Looking ahead, Cineplex reported a solid start to the third quarter, bolstered by the early performance of Jurassic World: Rebirth. The outlook remains upbeat with several high-profile titles set to debut in July, including Superman, I Know What You Did Last Summer, and Fantastic Four: First Steps.